Japan’s ruling Liberal Democratic Party (LDP) has succeeded in passing reforms will eliminate priority fishery rights for local fishery cooperatives and shift to more science-based resource management.
The LDP’s fisheries subcommittee and the fisheries comprehensive investigation joint meeting on 30 May approved proposed fishery reforms presented by the country’s Fisheries Agency. Following the approval, the Fisheries Agency will begin planning specific revisions to related laws.
Provisions of the 1949 Fisheries Act preferentially allocated fisheries rights for aquaculture and coastal fishing to local fishery cooperatives, who in turn allocate these rights to fishermen. The change would put corporations on an equal footing with the cooperatives by eliminating that preference, at the discretion of prefectural governors. As for the science-based resource management, Japan’s current laws also give weight to socio-economic effects, such as hardships that might be caused by the abrupt closure of a fishery.
The idea of reallocating priority fishing rights, including for aquaculture, has been floating around for some time. A Fisheries Agency whitepaper released in 2016 noted changes in the role and financial capacity of local fishery cooperatives. A new government initiative then promoted private fishing, trading, and aquaculture companies.
Allocation of fishery rights is a contentious issue in coastal villages, as it is sometimes seen as a precursor to privatizing and handing over local access rights to large corporations. On the other hand, it will infuse needed capital into local ventures and create jobs. In disaster-hit areas, or areas where there are too few successors due to Japan’s aging population, this may be needed.
There has already been one example of a private company forming a joint venture with fishery cooperative members: An oyster farming operation in Miyagi Prefecture.
Following the 2011 earthquake and tsunami, Miyagi Governor Yoshihiro Murai said he didn’t think older, smaller-scale fishermen would be able to recover, even with government help. As an emergency measure, the Miyagi prefectural government in October 2011 designated Marine Produce Industry Special Zones for Reconstruction, within which businesses could acquire fishing rights.
Some conditions applied in the special zones: At least seven local fishermen, or more than 70 percent of the local fishing households had to be either employees or shareholders of the enterprise. If both a fishing cooperative and an eligible enterprise applied for aquaculture rights, the governor would decide which should get the rights by considering which will better contribute to restoration.
Momonoura Kaki Seisansha Godo Kaisha, a venture between Sendai-based Sendai Suisan Corporation and oyster fishermen in the Momonoura district of Ishinomaki City, Miyagi Prefecture, was founded in August of 2012, but began its operations in earnest in October 2013 with investments in an aquaculture facility, fishing boats and construction of a processing plant. Sendai Suisan invested JPY 200 million (USD 1.81 million; EUR 1.56 million) and government subsidies added another JPY 490 million (USD 3.81 million; EU 3.84 million). It sells directly to major supermarket chains and other buyers without going through the prefectural fisheries cooperative. The company’s business model is to integrate production, processing and sales. Fifteen local oystermen originally partnered with Sendai Suisan to form the company, but the number of employees had grown to 44 by 2016.
“If we think of it as a pilot program, there haven’t been any problems,” Keiichi Sakai, technical assistant at the fisheries promotion division of the Miyagi Prefecture’s government told SeafoodSource.
Sojitz Corp., a general trading company, also acquired aquaculture rights in Nagasaki Prefecture through a subsidiary and is operating a tuna farm there. The company was able to establish good relations with local fishermen and managed to get approval for a fully-owned subsidiary to operate the bluefin farm without partnering with a cooperative.
These two successful test cases are likely to be held up as examples for a further erosion of the cooperative system, even as the cooperative system is promoted by proponents of the TURF (Territorial Use Rights for Fishing) system.
In addition to stressing the need for new investors and business entrants through privatization, the LDP is reassessing the role and situation of the cooperatives, many of which are plagued by shrinking membership and chronic financial troubles.
Photo courtesy of Qatar News Agency
